Department for Business and Trade

Post Office Limited: Additional Funding Update

The Earl of Minto: My Hon Friend, the Parliamentary Under Secretary of State (Minister for Enterprise, Markets and Small Business) (Kevin Hollinrake MP) has today made the following statement.I am announcing the Government intends to provide additional financial support to Post Office Limited of up to £150 million plus any contingency that may be required. This funding will enable the company to meet the costs of participating in the Post Office Horizon IT Inquiry and of operating compensation schemes for postmasters.The final level of funding required is currently being finalised. The Government will confirm to the House the outcome of considerations on financing needs at the earliest opportunity following finalisation.The Government also intends to provide additional funding to help with the development of the replacement for the Horizon IT system and to ensure the Horizon system is maintained before that replacement is rolled out.This funding is subject to compliance with subsidy control requirements, including referral to the Subsidy Advice Unit (part of the Competition and Markets Authority) for review under the Subsidy Control Act 2022 and no award of funding will be made until this is completed. The Subsidy Advice Unit should publish a report within 30 working days, in addition to a preliminary assessment being carried out and a subsequent review period where the outcomes of the review are considered.

Department for Education

Schools and Colleges update

Baroness Barran: My Right Honourable Friend, the Secretary of State for Education (Gillian Keegan MP), has made the following statement:Today I am announcing my intention to pursue Minimum Service Levels in education. In the first instance, I will look to proceed through voluntary agreement. I have written to the teaching unions inviting them to discuss minimum service levels proposals in the hope an agreement can be reached on a voluntary basis.If we cannot reach an agreement, I will use powers within The Strikes (Minimum Service Levels) Act 2023 which allows the Secretary of State to make regulations to set minimum service levels for schools and colleges in the event of strike action. At such a time I will launch a consultation on how minimum service levels could be implemented. This consultation will build on the consultation in higher education announced on 2nd October.The Government remains committed to ensuring that children and young people are not disadvantaged because of any future strike action. This year’s school strikes were part of the biggest outbreak of industrial action in a generation, with far reaching consequences across the education system. Cumulatively over 25 million school days have been lost over 10 strike days in schools alone. Disruption caused by strike action has only compounded the detrimental impact of the Covid pandemic on children’s and young peoples’ learning.Either through voluntary agreements or legislation we will introduce minimum service levels to protect children and students from disruption to their education during periods of industrial action.